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Crumbl Cookies: The Billion-Dollar Cookie Phenomenon
Journey to 1000 stores and $1 billion in revenue
TLDR;
Crumbl Cookies turned a simple idea - cookies - into a billion-dollar franchise through innovative flavors, memorable experiences, and a social media-driven marketing strategy.
“Everything we do is really just something that anyone can do”.
This is what Jason McGowan, co-founder of Crumbl, says about his experience of building the company. (Source)
Known for its oversized, gooey cookies and a rotating menu of unique flavors, Crumbl isn’t just a bakery - it’s a cookie phenomenon that has redefined what it means to grab a sweet treat.
The 3 important milestones in their timeline include:
The first store in Logan, Utah, in 2017.
The adoption of the franchise model, allowing them to scale fast.
The billion-dollar revenue mark, making them one of the fastest growing chains.
From a homegrown brand to a unicorn company, how did they manage such a meteoric rise?
Let’s look at their start-up journey!
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Crumbl’s journey began with two cousins, Sawyer Hemsley and Jason McGowan.
Sawyer Hemsley, who was pursuing a degree in business at Utah State University, wanted to combine his entrepreneurial spirit with his love for desserts. He brought the passion and creativity.
Jason McGowan, an entrepreneur, with previous experience in building and growing businesses, especially digitally.
McGowan wanted to build something that brought family and friends together. Instead of digital route, he created cookies instead.
He invested $68,000 personally to build Crumbl.
Hemsley is responsible for the visual branding aspect of the brand, creating the iconic pink packaging that is now associated with Crumbl.
Their initial goal was to perfect the classic chocolate chip cookie. After countless late-night experiments in Hemsley’s kitchen and feedback from friends and family, they finally nailed their signature cookie recipe.
So, they opened a store - in a building that was set to be demolished! They leased it for $800/month to set up the first of their 1000 stores.
But they didn’t stop there. They decided to make their menu exciting by rotating flavors weekly - a genius move that keeps customers coming back to see “what’s new.”
Baking Through Challenges
Starting Crumbl wasn’t a cakewalk (or should we say “cookie walk”?).
No Baking Background:
Neither of the cousins had any formal training in baking. They had to rely on trial, error, and a lot of Googling to perfect their craft.Tight Budget:
Their first store in Logan, Utah, was a modest setup with a DIY vibe. They even borrowed kitchen equipment to save costs.Finding the Perfect System:
Ensuring every cookie was consistently fresh and high-quality required them to develop strict processes and standards.Marketing on a Shoestring:
They didn’t have a big advertising budget, so they leaned heavily on word of mouth and social media.
Despite these hurdles, Crumbl’s focus on quality, fun, and innovation helped them stand out.
The Recipe for Crumbl’s Sweet Success
Crumbl Cookies didn’t just stumble into success - they baked their way into people’s hearts with a mix of innovation, exceptional customer experience, and savvy marketing. Here’s what set them apart:
The secret sauce (or, in this case, dough) is their rotating menu.
Every week, Crumbl surprises customers with 6 new flavors, like Snickerdoodle and Strawberry Shortcake, while keeping fan favorites like chocolate chip always available.
Every Sunday, they dropped “Unbox the Pink Box” to show the next flavors of the cookies:
6 is the perfect number because people can share them with loved ones to try all of them - not too less, and not too many.
This strategy creates a buzz:
Customers feel excited to see what’s new.
It encourages repeat visits because you never know when your favorite might return.
It’s a clever way to keep things interesting and ensure no two trips to Crumbl are ever the same.
This also helps to increase the Lifetime Value (LTV) of the consumers by offering a niche variety of cookies.
Crumbl’s customer experience is as sweet as their cookies.
The stores are designed with an open kitchen concept, so customers can watch their cookies being baked fresh.
It’s not just a purchase - it’s a show.
They’ve mastered the art of turning something as simple as buying cookies into an experience.
Crumbl Cookies isn’t just a bakery; it’s a social media sensation. Platforms like TikTok and Instagram have played a massive role in turning Crumbl into a household name.
Their strategy? Make cookies shareable.
From drool-worthy cookie close-ups to customer reviews and behind-the-scenes baking videos, their social media strategy is all about making people crave cookies.
Reviews, reactions, and personal cookie rankings from fans have also gone viral, giving Crumbl free advertising and an even bigger audience.
The result? Fans who not only buy cookies but also share their experiences online, giving Crumbl free and authentic advertising.
Franchising: Baking Success Nationwide
Crumbl’s secret to rapid expansion lies in its decision to franchise the brand. Why did they go this route?
Initially, different stores were given to their family members to run, and when they saw the response, they created a franchise.
The founders realized franchising would let them grow quickly while giving local entrepreneurs a chance to bring Crumbl to their communities.
Unlike some franchise models where owners are left to figure things out, Crumbl provides:
Comprehensive Training:
Everything from baking the cookies to running the business.Marketing Support:
Access to their proven strategies and tools to drive local buzz.Operational Systems:
A blueprint for ensuring quality and consistency across all locations.
From One Store to Hundreds in Record Time
Crumbl opened its first store in Logan, Utah, in 2017. Fast-forward a few years, and they now have over 1000 stores across the U.S.
It is also available in 9 international locations, including Canada and Australia. How did they grow so fast?
The Power of Local Owners:
Franchisees brought local connections and passion, driving community support.Consistency:
Whether you’re in Utah or New York, a Crumbl cookie is the same fresh, delicious experience.Scalable Model:
Their systems made it easy to replicate success store by store.
Their rapid growth shows the strength of their business model and the universal love for cookies done right.
Consumer Feedback:
Crumbl created an app where customers can review the cookies and even share pictures of their orders.
The app also allows customers to select catering services and gift cards.
This helps the company track what the consumers are liking and if the quality is consistently maintained.
Moreover, when they create a new flavor in the R&D kitchen, they launch it in 50 locations and gather feedback before launching it fully.
This helps them to track and create exactly what the consumers need at all times, as they find out ways to “surprise and delight” their loyal audience.
To Conclude:
Crumbl Cookies took something as simple as a cookie and turned it into a cultural phenomenon, redefining how people think about desserts.
They’ve shown that even small ideas - like a better chocolate chip cookie - can grow into something massive with the right mix of innovation, passion, and perseverance.
If Crumbl’s journey teaches us anything, it’s this: Sweet success isn’t just about luck. It’s about having the courage to dream big, start small, and bake up a storm.
Key Insights:
Focus on a Niche:
Instead of trying to cater to every dessert lover, Crumbl honed in on cookies and made them extraordinary.Create an Experience:
Crumbl didn’t just sell cookies; they created a memorable experience, making the customers feel part of something special.Harness the Power of Social Media:
By making social media the backbone of their marketing, Crumbl reached millions without spending heavily on traditional advertising. Viral videos, influencer collaborations, and user-generated content turned their fans into brand ambassadors.'Franchise Smart, but Beware the Risks:
Franchising helped Crumbl scale rapidly, but it also came with challenges, such as maintaining quality and ensuring franchisee satisfaction. It’s a great strategy for growth, but it requires careful planning and ongoing support.
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